December 22, 2020
After finding support near the $22 per ounce level late last month, silver rallied more than 20% throughout December to reach over $27.50, before pulling back to the $25 area on Tuesday.
The industrial metal is down over 3.29% on Tuesday, dragging down the
iShares Silver Trust (SLV) a similar percentage, as the holiday week continues, but could present an opportunity for precious metals buyers who foresee a run higher.
According to Christopher Lewis of fxempire.com, there could be significant support for silver as it potentially makes its way above the $30 per ounce level.
“The market has recently broken out of a four dollar range, and therefore it would extrapolate towards a move near the $32 level. Obviously, there are a lot of resistance areas between here and there, so that is a longer-term call more than anything else,” Lewis wrote.